The last few weeks have been hectic for Brazil’s online gaming and sports betting industry, less than a year away from regulation. At the end of May, the Senate approved restrictions on sports betting advertising, a proposal that must still be approved by the Chamber of Deputies in the coming months. Furthermore, last Sunday the…
The Buenos Aires City Legislature is considering a bill, presented by the Civic Coalition party, to raise the tax on online gambling from 6 to 12 percent. In the city, the activity pays half the tax of land-based gambling, which has much higher operating costs. Buenos Aires legislator Facundo del Gaiso’s initiative will be voted on today in…
A legal advisor has cautioned UK operators like Ladbrokes to always ensure they remain on the safe side when it comes to advertising.
Felix Faulkner, solicitor at licensing law firm Poppleston Allen, gave his two cents on the recent Ladbrokes fallout with the UK’s Advertising Standards Authority (ASA) by highlighting the importance of placing a promotion within a wider social context before running it.
Measure twice, cut once
Addressing all UK operators, Faulkner advised that companies should be aware of three main points when handling promotions – the terminology and naming of the products or offers, the historic and current colloquial use of the terms being used, and the implications of any derivative advertising efforts.
“Responsible gambling is a fundamental tenet of the Gambling Act, and the remit falls solely in the laps of operators and licence holders to ensure that their marketing and advertisements always adhere to the LCCP and the ASA regulations,” the solicitor added.
“It is always better to be safe than sorry.”
Ladbrokes learns firsthand
What led to Faulkner’s comments was a recent decision by the ASA to uphold several complaints made against Ladbrokes advertisements.
The case featured the operator’s airing of two TV and video-on-demand promotions featuring its free-to-play game currency called ‘Ladbucks’.
ASA’s subsequent ruling deemed the adverts potentially appealing to minors due to the branding terminology, with ‘bucks’ specifically reminiscent of the ‘V-bucks’ virtual currency used in the video game Fortnite, and the ‘Robux’ currency of the video game Roblox – both games immensely popular among children.
In addition, the advertising regulator saw a problem with the term ‘lad’ as well – although it has been intrinsic to the Ladbrokes brand since its inception.
ASA stated that it views the word ‘lad’ as a colloquial UK term referring to a boy or a young man, which combined with the word ‘bucks’ constitutes a breach of its anti-minor advertising code altogether.
Ladbrokes, which is a property of Entain, has disagreed with both conclusions, but has nevertheless taken action to remove the featured content.
Faulkner concluded: “While it is understandable that a brand called Ladbrokes might produce an in-play betting reward token with the term ‘lad’ in it, it is of utmost importance for all licence holders to sense-check a number of things before running a promotion.
“It is evident from the Ladbrokes decision that the ASA believed the close link to Fortnite and Roblox pushed this proposal over the line, and the argued mitigation from Ladbrokes was not enough to defend the case.”
The Swedish Gambling Authority (SGA) has officially stopped influencers from promoting illegal gambling on Twitch.
A number of influencers were placed under supervision within an ongoing initiative to curb illegal gambling marketing – particularly content directed at Swedish audiences through digital platforms.
Marketing of gambling services to Swedish consumers is prohibited unless the operator holds a valid licence, as detailed in Sweden’s Gambling Act 2018. Twitch is of particular concern as it is a platform mainly used by younger audiences.
It is important to note that the SGA identified highlighted gambling amongst youths as a key focus area for regulatory oversight in its 2025 operational plan.
Now, the authority assures that those influencers who have been subject to supervision have completely ceased marketing illegal gambling.
It detailed in a statement: “The Swedish Gambling Authority’s operational plan for 2025 states that young people’s gambling and illegal gambling will be the focus of the authority’s supervision.
“The Swedish Gambling Authority will also continue to supervise influencers and other actors who conduct or promote illegal gambling under the Gambling Act.”
A global operation
The country’s clampdown on illegal activity of this kind falls in line with a growing number of jurisdictions overseas which are becoming stricter in terms of influencer marketing regulations in iGaming.
Similarly, in several regions, such as Brazil, YouTube introduced strict measures in March this year which now blocks user content that is related to illegal online gambling websites – though these policies are not isolated to Brazil, they do have a particular relevance to their developing market.
YouTube’s policy statement, as reported by SBC Noticias – BR, read: “Content that promises guaranteed returns may be removed, regardless of whether the online gambling site or app has been approved by Google.”
The UK is also closely monitoring influencer activity in the betting sector. For example, the Advertising Standards Agency (ASA) recently issued a warning to Stars Interactive, operator of PokerStars, over a “socially irresponsible” advert that featured social media stars.
Swedish market situation
As Sweden continues to closely monitor illegal activity in the sector, preliminary results for the country’s gambling market have recently revealed a slight drop in Q1 turnover compared to the previous corresponding quarter.
Interestingly, licensed operators saw a total of SEK 6.6bn (£512m) being staked in the three months ending March, representing a 0.9% drop from the SEK 6.7bn in Q1 2024.
Online betting and gaming led the turnover pack with a total volume of SEK 4.3bn. This is historically the segment which customers engage the most with, averaging more than SEK 4bn throughout 2024.
Ricardo Assis – SBC Noticias Brazil
The CPI’s rapporteurs are demanding a shock to the system and reset of the governance, regulation, and enforcement of Brazil’s online gambling sector. Ricardo Assis, Editor of SBC Noticias Brazil declares that all regulatory conditions the Bets regime face scrutiny.
A series of radical reforms, penalties and criminal enforcements have been proposed by the Senate’s Commission Inquiry (CPI) evaluating the economic and social impacts of the Bets Regime.
Just 19 weeks since the CPI commenced its evaluation, led by Senator Soraya Thronicke (Podemos–MS) and Dr Hiran Gonçalves (PP–RR), the rapporteurs have submitted their recommendations to the Senate.
The CPI was established to evaluate the economic liabilities and social threats of Brazil legalising online gambling since 1 January 2025.
The inquiry heard testimonies from operators, stakeholders and whistleblowers on wide ranging topics from fraud and match-fixing to money laundering, advertising malpractice and the absence of consumer safeguards.
Of significance, the inquiry hit national headlines after testimony concerning Virginia Fonseca, a social media influencer with over 50 million followers, who is accused of misleading advertising and acting as a financial beneficiary of unlicensed operators.
As reported by SBC Notícias, the CPI’s final report calls for 16 indictments, targeting both individuals and entities. Fonseca, alongside influencer Deolane Bezerra, is named in connection with promoting illegal betting operators, with the report stating it was “unlikely” that Bezerra “ceased to be an effective partner and simply became a spokesperson.”
The report proposes the criminalisation of match manipulation in sports be signed into federal law. An action to be governed by the creation of a ‘National Sports Integrity Authority’, that will oversee the regulation of automated systems used by betting platforms.
Algorithms, the report noted, often operate without independent certification, making it “difficult for the bettor to assess the real risk involved.” A technical audit protocol is proposed, under regulatory supervision, to ensure transparency in how odds and promotions are determined.
The commission warns that betting platforms have become conduits for illicit financial activities. Evidence presented to the CPI outlined the use of fragmented transactions, third-party CPFs, untraceable crypto operations, and withdrawals routed through accounts tied to Brazil’s social welfare schemes. To counteract these abuses, the CPI has recommended data-sharing protocols between the Federal Tax Authority, COAF, and licensed operators, as well as regular financial audits.
Brazilian football, a key beneficiary of betting sponsorship, came under heavy criticism. Club executives admitted they lacked integrity departments and were often unaware of commercial terms involving gambling partners, with many deals brokered through intermediaries. The commission labelled this state of affairs “institutional omission” and “structural unpreparedness.”
Digital influencers, a core channel for consumer engagement, were described in the report as central players in normalising irresponsible betting behaviours. As such, affiliate contracts linking influencer revenue to user losses were described by the commission as “anti-educational and perverse.” The CPI has formally requested investigations into these arrangements by COAF and Receita Federal.
The report further urges an outright ban on online casino-style games, denouncing them as “online slot machines with exclusively deleterious characteristics,” while calling for extensive reform of betting advertising, including:
Prohibition of gambling ads during prime-time TV
Bans on welcome bonuses and misleading promotions
Mandatory age and financial suitability checks for bettors
Additional proposals include embedding gambling addiction awareness and financial literacy into school curricula, alongside national prevention campaigns supported by the SUS, NGOs and “conscientious influencers.”
Despite being tabled, the report will not be voted on immediately. As SBC Notícias reports, several senators have called for more time to review its recommendations. CPI President Dr Hiran has since indicated that he will move to postpone the vote until the following week.
Political consequences now loom for Brazil’s fledgling Bets Regime. Last week, Finance Minister Fernando Haddad has backed a provisional measure to raise the GGR tax on licensed operators from 12% to 18%, as a measure to fill budgetary gaps of the PT government.
A pending tax hike underscores the government’s push for tighter fiscal and regulatory oversight, prompting a coalition of trade bodies to challenge a tax framework they argue imposes an effective burden exceeding 50%.
The publication of the CPI’s report and its pending vote bring a turbulent close to the first six months of the Bets Regime existence. With mounting headwinds of tax hikes, compliance demands and the threat of criminal sanctions, the competitive landscape of Brazil’s online gambling market is poised for reshaping in the second half of the year. The only certainty, it seems, is continued volatility of a fragile Bets market that has been radically transformed since its launch on 1 January.
The UK’s leading residential treatment charity Gordon Moody co-hosted a reception with Labour Party MP Chris Bloore at the House of Commons yesterday to raise awareness of the growing crisis surrounding the implementation of the research, education and treatment levy. A room full of dignitaries, industry representatives and other charities heard about the life-changing services…
In this latest episode of iGaming Daily, brought to you by Optimove, hosted by Fernando Noodt, the team, including Ricardo Assis and Ana Maria Menezes from SBC Noticias Brasil, delves into the turbulent Brazilian iGaming market. The discussion centres on a major tax increase proposed for the sector. On June 8th, the government decided to…
The Advertising Standards Agency (ASA) has upheld two complaints against Ladbrokes for an advertisement that was deemed to be of strong appeal to those under the age of 18 and in breach of the BCAP and CAP Code.
The advert in question from the Entain brand featured ‘Ladbucks’, the operator’s free-to-play games currency, and was aired on TV and video-on-demand on 17 December 2024 and 23 December 2024, respectively.
Imagery of coins with the initials ‘Lb’ was shown in the advert, alongside text that said “100m LADBUCKS”, FREE BETS” and “FREE SPINS”.
A voiceover in the advert stated: “This is a Ladbuck, the new way to get rewarded at Ladbrokes, and these are some of the 100 million Ladbucks that will be dropping weekly. Collect them on our free-to-play games and choose rewards like free spins, free bets and more.
“Over 100 million Ladbucks dropping every single week. Plus, you can even use them to play your favourite games for free in our Ladbucks arcade. Like Fishin Frenzy and Goldstrike. Start collecting at Ladbrokes.com.”
Ladbrokes contests Ladbucks’ appeal to minors
The reason why it is believed the term ‘Ladbucks’ could be of strong appeal to minors is because of its similarities to the in-game currencies of ‘V-bucks’ from Fortnite and ‘Robux’ from Roblox, two games popular with under-18s.
Ladbrokes argued that Ladbucks could only be used by logged-in, verified users over 18, couldn’t be purchased, had no monetary value, expired if not used, lacked a general market value with an exchange rate, and couldn’t be universally used across all products on its website.
Additionally, the Entain brand said each eligible product or offer had a set value, which was in contrast to in-game currency products, and that the term ‘Ladbucks’ was a play on the word Ladbrokes.
The operator argued that the term ‘bucks’ is “known as a colloquialism for dollars and was widely used to refer to money or a unit of currency in many contexts, which included video games”, had no origins in youth culture, and they believed it wasn’t of inherent strong appeal to under-18s.
Ladbrokes noted that both ads “had targeting restrictions to reduce the likelihood of children viewing them” and believed the term “was not associated with any coins from videogames which were popular with under-18s”.
It was highlighted by the operator that ‘V-bucks’ from Fortnite and ‘Robux’ from Roblox were in-game currencies that had to be purchased before being used to buy in-game items, certain elements of Robux required parental consent, and the purchaser of subscription services must be over 18.
As a result, Ladbrokes said the term bucks was the only similarity between those coins and Ladbucks, adding that the rewards programme was reviewed in its entirety with a conclusion that there was no risk of the term being associated with Fortnite or Roblox.
The operator also argued that other industries use reward schemes and that using poker chip imagery was suitable for a licensed gambling operator, and so argued that there was nothing in the advert’s imagery and content that shared similarities with either of the games.
The Entain brand also mentioned that they didn’t believe the term ‘lad’ “referred to a boy or young man”, and said their brand had never been used in that context, that Clearcast didn’t believe the term ‘Ladbucks’ appealed strongly to children or that the tokens were similar to in-game currencies.
Meanwhile, the broadcaster that showed the advert on its streaming service, Channel 4, believed the advert was compliant with the code.
ASA upholds complaints
In response, the ASA believed the Ladbucks name and appearance could be of appeal to minors due to their similarities to the in-game currencies of ‘V-bucks’ from Fortnite and ‘Robux’ from Roblox and how many under 18s play video games.
The agency also stated that Ladbucks, through the suffix ‘bucks’, had strong similarities with in-game currencies Robux and V-bucks because the latter Fortnite currency is a shortened version of ‘Vindertech’ bucks, which was a fictional company in the video game, and so similarly constructed.
Regarding the term ‘lad’, the ASA disagreed with Ladbrokes and said the term ‘lad’ was a colloquial term for a boy or young man, and so in the ad’s context alongside the word buck, it would have been recognised and of appeal to some minors.
In addition, the ASA noted that the Ladbuck poker chip design has the same characteristics as the V-buck, while the Robux’s previous iteration was also of a similar appearance.
Although Ladbrokes’ position as a gambling operator was acknowledged as a reason behind the design, the ASA stated that it was not poker chip imagery in isolation, but the token’s imagery alongside the term Ladbucks that was likely to have been perceived by many under-18s as similar to video game in-game currencies that are of strong appeal to minors.
It was also noted that the use of Ladbucks in an online store and arcade was “likely to be reminiscent of the way in-game currencies Robux and V-bucks were used” and therefore increase its appeal to minors.
The ASA stated: “For those reasons, we concluded the name Ladbucks, when considered alongside the imagery and the application of the coin in the ads, was depicted in a manner which was similar to features in video games popular with children. We therefore considered the term in the ads was likely to be of strong appeal to under-18s and breached the Code.”
The agency added that the adverts must not appear again in their current form, and Ladbrokes has been told not to feature content in their adverts that has a strong appeal to under-18s or is reflective of youth culture.
Fears of a tax increase on online gambling in the UK loom while a new YouGov survey suggests that 65% of bettors agree that such change “would make customers turn to unregulated betting sites”.
The research was commissioned by the Betting and Gaming Council (BGC), the trade and standards body for UK betting, which warns that this shift could not only fail to generate more tax revenue but also jeopardise player safety.
Furthermore, the BGC is also concerned that increased taxation would severely impact the financial health of sports, particularly horseracing, which currently receives significant funding from its members.
Undermining the regulated gambling market
UK gambling is a highly regulated sector, servicing 14 million adults (excluding the National Lottery) who gamble per month and generating £10.9bn in annual gross gambling yield (GGY).
Licensing duties see consumers protected by safer gambling rules, compliance monitoring, customer care interventions, responsible gambling tools, controls, and financial probity – UKGC.
With the government now consulting on a major change to the way betting and gaming is taxed online, fears of a price increase for betting on sports like racing and football are only on the rise.
Sporting betting and online gaming is currently taxed at different rates, but last month HM Treasury launched a new consultation which proposed a single new tax.
Describing the stats as “shocking”, BGC CEO Grainne Hurst said that these figures prove what’s at stake if the government forces through a self-defeating tax hike on ordinary punters.
“It’s clear it will not raise more tax, it simply risks forcing huge numbers of customers out of the regulated market, with its world leading standards on player safety, into the arms of the growing, illegal, unregulated and unsafe gambling black market online,” she said.
“Any tax rises would make a mockery of the Government’s growth strategy and be catastrophic for horseracing, which is already facing a bleak financial outlook.”
A wake up call
The study revealed that only 23% of punters believe a tax hike is unlikely to have an impact on customers moving towards the black market.
It is also worth noting that the argument around the potential impact of the black market is a long-running one – and one which politicians have not always been very receptive to.
Hurst continued: “This is a wake up call for the government, punters have been loud and clear, hit them with further taxes and they will walk away from sports like racing, straight to the black market, triggering a spiral of decline.”
The survey posed a scenario to customers: “Imagine that betting on sports events like horseracing became more expensive because the government increased the amount of tax that betting companies have to pay. How likely or unlikely do you think it is, if at all, that this would make customers turn to unregulated betting sites that don’t have to pay any tax at all?”
As stated above, the BGC’s main concerns are about the black market. It was only at the end of last year that the Council warned the government that unregulated black market gambling poses greater risks than perceived by British consumers.
This followed a study published by microeconomics consultancy Frontier Economics and was described as “the first major study on the black market since the publication of the previous Government’s White Paper on gambling reforms”.
The coverage and ease of promotion of illegal websites were detailed as an area of concern, as 15% (2.8 million people) of gamblers who responded to the survey said they had heard of at least one of the black market sites listed.
The BGC also revealed that 1.5 million Brits stake up to £4.3bn on the growing gambling black market annually.
The organisation concluded: “This growing, unsafe, illegal gambling black market does not contribute to sport, does not pay tax and targets customers who are vulnerable to harm, including the self-excluded.”
Content creators in Kenya have hit back at a ban on the use of influencers in gambling advertising, citing the economic consequences of the new regulation.
Following a 30-day ad blackout implemented on 29 April, Kenya’s Betting Control and Licensing Board (BCLB) published an extensive list of rules that operators must follow, including refraining from using celebrities, influencers and content creators to endorse or promote gambling.
In response to the ban, a group of content creators issued an ultimatum to the BCLB, demanding a rethink of the regulation.
Advocate Hansen Omido told reporters that given social media’s prominence in modern-day advertising, marketing by influencers “needs to be responsibly managed and not completely abolished”.
“A blanket ban cannot be the solution. It is a blow to the creative economy and to the thousands of young people whose livelihoods depend on producing digital content,” Omido added.
Alongside a ban on the use of influencers and celebrities, all proposed adverts must be approved by the BCLB before publication and also classified by the Kenya Film Classification Board (KFCB).
The advertising practices of operators will also be subjected to regular audits by the BCLB and the KFCB, as well as by Kenya’s Media Council, Communications Authority and the Directorate of Criminal Investigations.
Social media influencer ‘YY Comedian’ described the decision as hypocritical and unfair, noting that influencers have been targeted while the mainstream media is still allowed to promote betting.
“If the goal is to regulate and help the youth, why target one segment only?” he questioned. “This looks more like hypocrisy than regulation, and we are ready to engage in conversatout responsible oversight, but not at the expense of fairness.”
Sports journalist Erick Njiru also noted that many of Kenya’s sports teams are sponsored by betting firms, meaning that the players are associated with gambling operators.
He said: “The players themselves are celebrities and their association with betting is a significant part of the sports ecosystem. Let us sit down and discuss how we can regulate this industry responsibly, just like alcohol and cigarette advertising, which is done within safe hours and with proper restrictions.”
Despite issuing a 48-hour ultimatum on 4 June, the Kenyan government or BCLB has yet to respond to the content creators’ concerns.
The clampdown on advertising, particularly focused on protecting youth from exposure to gambling, comes into place as Kenya continues to stand out as a market with large betting engagement.
Last week, a GeoPoll study revealed that the country had the largest betting engagement among markets in Africa, with 82.81% of respondents from Kenya having engaged with gambling products previously.
The figure underpins both the potential of the market and the tricky regulatory questions that the BCLB are being forced to contend with as the sector continues to grow.